Date of Communication: 12/09/2017
Dear Deductor, TAN (XXXXXXXXXX)
Centralized Processing Cell (TDS) has observed from its records that you have reported "Structurally Correct, however Invalid PANs" in your TDS Statement filed for Quarter 4 of Financial Year 2016-17.To correct such errors, CPC (TDS) Analytics provides suggestions of probable match PAN for the Deductees, while submitting Online PAN Corrections based on your statement filing history.
Action to be taken:
- "Online Correction" facility of TRACES can be used with Digital Signatures for correction of PANs. To avail the facility, you are requested to "Login to TRACES" and navigate to "Defaults" tab to locate "Request for Correction" from the drop-down menu. For assistance, please refer to the e-tutorials available on TRACES.
- While submitting PAN Corrections, CPC (TDS) Analytics identifies the above referred errors for and provides probable match for Valid PANs. This will reflect as follows while submitting corrections:
Implications,if Errors are not corrected:
Deductor would not have been able to generate TDS Certificates for deductees with such incorrect PANs. It is also to be noted that in case, TDS Certificates is generated outside TRACES and issued, will not be valid in view of CBDT circulars 04/2013 dated 17.04.2013, No. 03/2011 dated 13.05.2011 and No. 01/2012 dated 09.04.2012 and TDS certificates downloaded only from TRACES Portal willonly be valid. Certificates issued in any other form or manner will not comply to the requirements referred in the Income-tax Act 1961 read with relevant Rules and Circulars issued in this behalf from time to time.
- Correct TDS Credits in 26AS statements to such taxpayers will not be available and they will not be able to avail the same, while filing their Income Tax Returns.
- As per section 206AA of the Income Tax Act, tax is to be deducted at a higher rate, in case of "Not Available/ Invalid PANs". Therefore, default of Short Deduction, including Interest is charged on the deductor, if the tax has not been deducted at higher rate, as per the provisions of section 206AA.
Therefore, to avoid generation of defaults against you and to avoid any inconvenience to your deductees, please make full use of the above referred facility.
For any further assistance, registered deductors can raise online grievance through "Request for Resolution" under communication tab or call our toll-free number 1800 103 0344.
CPC (TDS) is committed to provide best possible services to you.
Notes:
- Please maintain updated email address and Contact Number on TRACES to receive regular periodic updates and guidelines from TRACES.
